In a significant development for Nigeria’s petroleum industry, the Independent Petroleum Marketers Association of Nigeria (IPMAN) has reached an agreement with Dangote Refinery to directly supply products to its members. This announcement came after a productive meeting of the National Working Committee of IPMAN in Abuja on Monday.
According to IPMAN’s National President, Abubakar Garima, the agreement will ensure a steady and affordable supply of Premium Motor Spirit (PMS), Automotive Gas Oil (AGO), and Dual Purpose Kerosene (DPK) to IPMAN’s depots and retail outlets across the country. The partnership follows discussions between IPMAN and Dangote Refinery’s management, including a key meeting with Aliko Dangote in Lagos.
Garima expressed optimism that the partnership would not only strengthen product supply chains but also contribute positively to Nigeria’s foreign exchange market, citing the backward integration benefits of the Dangote refinery. He urged all IPMAN members to fully support the initiative, highlighting the potential for reduced costs and better pricing for petroleum products.
Regarding the price of products, Garima expressed confidence that ongoing negotiations with Dangote Refinery would lead to favorable rates for marketers and consumers. The partnership is expected to eliminate middlemen and streamline supply chains, reducing costs significantly.
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In addition to the agreement on traditional petroleum products, IPMAN also revealed plans to transition smoothly into the Compressed Natural Gas (CNG) sector. The association is currently in negotiations with the Presidential CNG Initiative to establish nationwide CNG refill stations, further diversifying Nigeria’s energy sector.
The Dangote Refinery has pledged to begin supplying products to over 30,000 IPMAN members and approximately 150,000 retail outlets across the nation. This move marks a crucial step toward increasing efficiency, ensuring consistent product supply, and fostering economic growth in Nigeria’s petroleum industry.
